Bert Hochfeld graduated with a degree in economics from the University of Pennsylvania and received an MBA from Harvard. Mr. Hochfeld has enjoyed a long career in the tech world, working for IBM, Memorex/Telex, Raytheon Data Systems, and BMC Software. Starting in the 1990s, Mr. Hochfeld worked as a sell-side analyst and won awards from the Wall Street Journal for his coverage of the software space. In 2001, Mr. Hochfeld formed his own independent research company, Hochfeld Independent Research Group, which ...

BILL Holdings (BILL) shares have plunged 33.9% on a year-to-date (YTD) basis, underperforming the Zacks Computer & Technology sector's return of 22%. BILL shares have also underperformed the Zacks Internet - Software industry and peers like Intuit (INTU) . Over the same time frame, INTU shares have lost 3.6%. The industry has appreciated 22% YTD. The underperformance can be attributed to challenging macroeconomic conditions, which hurt the spending power of small and mid-size businesses as they tightened th ...

Michael Wiggins De Oliveira is an inflection investor. This means buying into cheap companies at the moment when their narrative is changing and the business is on a path toward becoming significantly more profitable over the next year. With a focus on tech and "the Great Energy Transition (including uranium)", Michael runs a concentrated portfolio with approximately 15 to 20 stocks and an average holding period of 18 months. Through his 10+ years analyzing countless companies, Michael has accumulated outst ...

Sometimes, a discounted stock can present a valuable opportunity. The market has discounted a fair number of stocks over the last few years, and some for good reason. At the same time, share price alone tells you relatively little other than what the broader market seems to think the stock is worth at that given moment in time. A stock can easily be overvalued or undervalued, and it's important to understand the drivers behind the stock's performance before you decide whether it's a good fit for your portfo ...

BILL Holdings (BILL) shares have outperformed the Zacks Computer & Technology sector and its Zacks Internet - Software industry peer Intuit (INTU) in the past month. While BILL has moved up 5.7%, Intuit has risen 0.3%. The broader sector has dropped 0.8% over the same timeframe. BILL's robust price performance has been driven by its impressive fiscal fourth-quarter 2024 results. It registered 16% year-over-year growth in revenues. Core revenues, which included subscription and transaction fees, also rose 16 ...

Bill.com has an enormous addressable market, and its stock looks like a great value right now. Enterprise software was one of the hottest segments of the technology sector in 2021. Capital was cheap thanks to record-low interest rates, and software companies were spending it on marketing and product development to generate surging revenue growth, even if it meant they lost money at the bottom line. But the era of cheap money is over, and most software companies now prioritize profitability. They are slashin ...

i Michael Vi It's often quite fascinating to see how quickly former market darlings can lose their status and become deep value plays, as is the base with BILL Holdings (NYSE:BILL). At its pandemic-era heights, Bill.com commanded revenue multiples north of 20x as its share price soared above $300. Today, however, small business churn and decelerating growth have eroded confidence in this name, which is one of the worst performers in the software sector with nearly a 40% year-to-date decline. The company fel ...

Jennifer Miranda Investment action I recommended a hold rating for Bill.com (NYSE:BILL) when I wrote about it in May, as I was not convinced that the business is turning around, despite the very early positive signs. Based on my current outlook and analysis, I recommend a hold rating. My key update to my thesis is that BILL's near-term outlook (both revenue and adj EBITDA margin) remains poor and uncertain. Until BILL shows evidence that its investments are working, with tangible improvement in various key ...

Business Performance - As of June 30, 2024, approximately 474,000 businesses processed $292 billion in Total Payment Volume (TPV) using the company's solutions[15] - The platform supports around 7.1 million network members who have engaged in electronic payments through the company's services[15] - As of June 30, 2024, the company has approximately 7.1 million network members, which includes standalone customers, suppliers, and clients who have transacted electronically via the platform[33] Product Offerings - The integrated platform launched in fall 2023 combines accounts payable and receivable functionalities, enhancing visibility and control for businesses[18] - The accounts payable automation service streamlines the payment process, providing visibility into cash inflows and outflows[19] - The accounts receivable service automates invoice creation and funds collection, offering complete visibility into the accounts receivable process[21] - The spend and expense management tools allow businesses to issue corporate cards and manage budgets effectively, with real-time visibility into spending[22] - The company facilitates ACH transactions, card payments, and real-time payments, enhancing the speed and security of financial transactions[24] - The platform integrates with leading accounting systems, automating reconciliation and minimizing data entry activities[25] Risk Management and Security - The unique data asset from processing millions of documents enables the company to leverage AI for risk management and operational efficiency[31] - For fiscal 2024, the fraud and credit loss rates for the company's standalone payment services were less than 0.01% of total payment volume (TPV), while the rate for BILL Divvy Corporate Cards was approximately 0.35%[37] - The company has implemented a robust security program aligned with NIST-800-53 standards, achieving SOC1 Type II and SOC2 Type II certifications[38] - The company is exposed to credit risk related to the creditworthiness of spending businesses, which may lead to increased delinquencies and losses impacting operational results[395] - Foreign currency exchange risk affects the company's cross-border payment service, with transaction fees not adjusted for exchange rate fluctuations[396] - The company's subsidiaries in Australia and Canada are also subject to foreign currency exchange risk, which can impact financial results due to transaction gains or losses[397] - A 10% change in the relative value of the U.S. dollar to other foreign currencies is not expected to have a material effect on cash flows and operating results[397] Market Position and Strategy - The company differentiates itself by offering a comprehensive portfolio of financial back-office solutions, managing billions in total payment volume through proprietary risk models[41] - The company is well-positioned to capitalize on the growing market for SMB back-office financial software and business-to-business payment solutions as digitization increases[42] - The company utilizes a multi-channel sales strategy, including direct sales and partnerships with accounting firms and financial institutions, to efficiently reach target customers[44] Research and Development - The company invests significantly in research and development to enhance product functionality and usability, focusing on customer needs[43] Customer Engagement and Support - The company has a customer success team that leverages insights from millions of transactions per month to improve platform utilization and customer experience[46] Compliance and Governance - The company maintains compliance with various regulatory requirements, including anti-money laundering laws and consumer protection regulations, to ensure operational integrity[52] - The company is committed to ESG initiatives, with oversight from its board of directors and a focus on sustainable practices for its stakeholders[57] Workforce and Culture - As of June 30, 2024, the company had a total of 2,187 employees across three U.S. offices and remote locations[58] - Over 40% of employees were members of at least one employee resource group (ERG) as of July 2024[64] - The company offers a comprehensive benefits package, including medical, dental, and vision insurance, as well as a 401(k) retirement plan[60] - The company has established seven ERGs focused on various dimensions of identity, supporting career development and community engagement[64] - The company has partnered with organizations to support underrepresented students in technical careers, enhancing its diversity and inclusion efforts[66] - The company’s San Jose headquarters is LEED Gold and Energy Star certified, promoting environmental sustainability[68] Financial Performance - The annualized interest rate earned on the corporate investment portfolio and funds held for customers increased to 5.07% during fiscal 2024, compared to 3.51% in fiscal 2023[389] - The company borrowed $180.0 million from its Revolving Credit Facility as of June 30, 2024, with interest costs indexed to SOFR[391] Intellectual Property - The company had 25 issued patents in the U.S. as of June 30, 2024, with expiration dates ranging from 2028 to 2042, and seven pending patent applications[69]

BILL Holdings (BILL) reported earnings of 57 cents per share in fourth-quarter fiscal 2024, beating the Zacks Consensus Estimate by 23.91% and increasing 18.8% year over year. Revenues of $343.7 million increased 16.1% on a year-over-year basis and surpassed the consensus mark by 4.92%. The top line was driven by 16.1% year-over-year growth in BILL's core revenues. BILL processed $75.9 billion in total payment volume (TPV) in the reported quarter, up 9.7% year over year. This included $70.8 billion of TPV o ...